Administration Help   I   Financial Help  I   Performance Budgeting Help

Yonkers Tax Routine (YNTX)

The Yonkers Tax Special Routine Processing utilizes the following steps:

Line 1	Multiply the employee’s gross wages for the current payroll period by the number of payroll periods in a year to obtain their Annualized Gross Income (GI).
Line 2	*Determine the allowance configured for the respective marital status.
Line 3	*Determine the exemption allowance for the Yonkers tax.
Line 4	Arrive at the total allowance by adding Line 2 and Line 3.
Line 5	Determine the adjusted annual gross by subtracting Line 1 from Line 4.
Line 6	Calculate the Yonkers tax by subjecting the adjusted annual gross to the DEDX table.
Line 7	*Determine the final tax by multiplying Line 6 with standard tax rate.
Line 8	Divide Line 7 by the number of pay period to arrive at the tax value for each pay period.

*Determine the allowance configured for the respective marital status

1. Configure the allowance amount as part of the minimum standard value field in the TAXP page. The following are the allowance amount for the marital status.

*Determine the exemption allowance for the Yonkers tax

1. Configure the Annual tax allowance field in TAXP and this value should be multiplied with the state tax allowance field from TAX or TAXS transactions to arrive at the exemption allowance.

*Determine the final tax by multiplying Line 6 with standard tax rate

1. Configure the Standard tax rate and multiply this value with the value received as part of the Line 6

Note: The Yonkers Non-Resident Tax Routine is only available for sites that utilize the Next Generation Payroll service.

Data Setup Considerations

Sites need to ensure they have implemented the following business process/data setup changes at their site prior to using the Yonkers Tax Routine.

1. The tax parameter setup for Yonkers tax.

1. Annual Exemption amount: 1000

2. Minimum Standard deduction:

• Single: 7400

• Married: 7950

3. Standard Tax Rate: 0.1675

2. Employee Tax Parameter (TAX) enrollment (Note: this only applies to employees enrolled in a Tax Class (TAXC) that includes a Yonkers Tax Deduction).

1. The State Tax Allowance field captures the employee's claim for number of allowances for the personal allowance amount.

Note: The point 2 functions if the MULTI_STATE_TAX parameter is set to N as part of the APPCTRL page, if the parameter is set to Y, then the system functions as per the point 3.

3. An employee enrolled in the State Tax Enrollment (TAXS) (Note: this only applies to employees enrolled in a State Tax Class (TAXCS) that includes a Yonkers Tax Deduction).

1. The State Tax Allowance field captures the employee's claim for number of allowances for the withholding allowance amount.